Interest Rate Strategy

InterestRateStrategy

Given the current utilization rate of the lending pool, it calculates the borrow rate and liquidity rate.

Interest rate curve has the following parameters:

  • Optimal utilization rate

  • Base borrow rate

  • Borrow rate slope 1

  • Borrow rate slope 2

ParameterValuesV1

OPTIMAL_UTILIZATION_RATE

80.00%

80.00%

BASE_BORROW_RATE

7.50%

7.50%

BORROW_RATE_SLOPE1

25.00%

25.00%

BORROW_RATE_SLOPE2

25.00%

25.00%

UtilizationRateLiquidity Rate

5%

7.50%

0.38%

10%

7.50%

0.75%

15%

7.50%

1.13%

20%

7.50%

1.50%

25%

7.50%

1.88%

30%

7.50%

2.25%

35%

8.75%

3.06%

40%

10.00%

4.00%

45%

11.25%

5.06%

50%

12.50%

6.25%

55%

13.75%

7.56%

60%

15.00%

9.00%

65%

16.25%

10.56%

70%

17.50%

12.25%

75%

18.75%

14.06%

80%

20.00%

16.00%

85%

22.50%

19.13%

90%

25.00%

22.50%

95%

27.50%

26.13%

100%

30.00%

30.00%

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